In a significant move to advance financial inclusion across the Philippines, global digital payments leader Visa has launched a groundbreaking debit issuing program in partnership with fintech infrastructure provider M2P Fintech and CTBC Bank (Philippines) Corp. This strategic collaboration, announced on November 12, 2025, aims to accelerate the digital transformation of rural and thrift banks nationwide, bringing secure and modern banking services to more Filipinos.
Bridging the Digital Divide in Philippine Banking
The innovative partnership combines Visa's global payments expertise, M2P Fintech's technology infrastructure solutions, and CTBC Bank's banking license to create an "issuance-in-a-box" framework that enables rural banks to issue both physical and digital Visa debit cards efficiently and cost-effectively. This approach eliminates the complex infrastructure barriers that have traditionally prevented smaller financial institutions from offering card programs to their customers.
According to recent data from the Bangko Sentral ng Pilipinas (BSP), there are more than 24.2 million deposit account holders in rural and cooperative banks, plus an additional 9.7 million account holders in thrift banks across the country. Despite serving millions of Filipinos, data from the Rural Bankers Research and Development Foundation Inc. reveals that rural and cooperative banks accounted for only 1.9 percent of the total asset volume in the Philippine banking system in 2024, while thrift banks represented 6.1 percent.
Enhanced Security and Rural Development Impact
Through this collaboration, enrolled rural banks will gain access to Visa's advanced security features, including Visa Advanced Authorization (VAA) and Visa Risk Manager (VRM) for enhanced fraud prevention. The partnership also provides rural banks with Visa Resolve Online (VROL), a streamlined dispute resolution tool that simplifies how consumer disputes are filed, processed, and resolved.
Rural and cooperative banks play a particularly crucial role in countryside development, with 17 percent of their total loan portfolio extended to the agriculture sector – the highest allocation among all types of banks in the Philippines. This makes their digital transformation especially significant for supporting agricultural communities and micro, small, and medium enterprises (MSMEs).
Industry Leaders Voice Support for Financial Inclusion
Jeffrey Navarro, Visa Philippines Country Manager, emphasized the program's broader implications: "With this collaboration, we advance Visa's long-standing commitment to financial inclusion and innovation in payments for the country's rural and thrift banking sector. Together with M2P Fintech and CTBC Bank, we're extending the reach of Visa's trusted global network – enabling more Filipinos to access secure, seamless digital payments and participate in the digital economy."
Madhusudanan R, Co-founder of M2P Fintech, highlighted their mission to deliver innovative financial solutions: "By integrating technology with strong settlement and operational support, we aim to help these institutions enhance efficiency and better serve their customers."
Luis S. Elizaga, CTBC Bank President and CEO, expressed pride in supporting the initiative: "We are proud to help digitize the Philippines' rural banks – an important segment that caters to underserved sectors such as agriculture and MSMEs. In the coming months, we hope to enroll rural banks in this initiative and build momentum toward a more digitally empowered rural banking system."
This landmark partnership represents a significant step toward creating a more inclusive financial ecosystem in the Philippines, where millions of previously underserved Filipinos can now benefit from the security, convenience, and opportunities of modern digital banking services.
